This bank has made strict rules for breaking FD before time, will have to pay hefty penalty
Penalty for premature break of FD
Premature Withdrawal Penalty will be applicable on FDs of less than 5 crores. There is no change in the penalty for premature termination of FDs of more than 182 days. At present, FDs of less than Rs 5 crore attract a penalty of half a percent on FDs with a tenor of 182 days or more.
premature investment (Investment) is never considered the right move. Most people need FD (Fixed Deposit) raise money by breaking it in the middle. However, due to this, one is not able to take full advantage of the investment. Yes Bank ,Yes Bank If the customers of FD break the FD, now not only will have to lose the full benefit of the investment but will also have to bear the additional loss. According to the new rules of Yes Bank, the customer will also have to pay a penalty for breaking the FD with a time limit of up to a specific period. According to the bank’s website, the increased fee will be applicable from 16 May 2022.
how much will the penalty cost
According to the information given by the bank, the customer will have to pay a penalty for premature withdrawal of money from fixed deposits of less than 181 days. Earlier, there was no penalty on FDs of this period. But now if the customer withdraws money before the stipulated time, then he will have to pay a penalty of 0.25 percent. These rules will not apply to senior citizens i.e. senior citizens will not have to pay penalty for breaking the FD prematurely. Premature Withdrawal Penalty will be applicable on FDs of less than 5 crores. There is no change in the penalty for premature termination of fixed deposits of more than 182 days. At present, FDs of less than Rs 5 crore attract a penalty of half a percent on FDs with a tenor of 182 days or more.
what are the other conditions
According to the bank, interest will be payable on the prematurely terminated FD. At the same time, the penalty structure of 0.25 percent will be applicable on FDs above Rs 5 crore. The new rules will be applicable to all classes of customers. Such senior citizens who have made FD between July 5, 2019 to May 15, 2019, will be subject to this penalty. However, this penalty will not be applicable on those who make FD on or after May 16.
